The Impact of Tuition Pricing Changes on the Balance of Enrollment among Christian Religious Colleges

Ohern, Saundra

ProQuest LLC, D.B.A. Dissertation, Northcentral University

The problem addressed in the current study was an enrollment decline for numerous private institutions. Using data obtained from the United States Department of Education's Integrated Postsecondary Education Data System, the purpose of the quantitative correlational study was to examine the impact of enrollment substitution within peer institutions consisting of private Christian universities through changes in peer tuition pricing. The sample included all U.S. Christian institutions affiliated with the Council for Christian Colleges and Universities (CCCU), and all Assembly of God liberal arts institutions, whose data was contained in the IPEDS database Results indicated a significant positive correlation between published tuition and fees and enrollment at CCCU schools (B = 0.00005; p less than 0.01), and a significant negative correlation between increases in published tuition and fees and enrollment (B = -.003, p less than 0.01). Findings imply a larger institution is able to charge more, yet as prices continue to increase compared to competitors, they are losing students to lower priced institutions. Results indicated a CCCU institution could increase their percentage share of freshmen by 0.1% by decreasing tuition $3,200. Significant positive correlations between enrollment and both the average net cost (B = 0.03, p less than 0.01) and the average amount of aid (B = 0.016, p less than 0.01) indicate when two CCCU schools had the same average net cost, the CCCU institution with higher enrollment was the institution which initially had a higher price but awarded higher aid. Study results also indicated a significant negative correlation between increases in freshmen enrollment and increases in published tuition and fees (B = -0.013, p less than 0.01), indicating every $79 increase in tuition and fees results in the loss of one student at a Christian institution. Findings confirm tuition discounting is a common practice at CCCU institutions with over 85%, on average, of students receiving institutional aid. The average aid increased 36% from 2003 to 2007, to an average award exceeding $7,100 in 2007. Future research should focus on determining the price differential needed to alter the college choice decision of CCCU students for whom price is a primary decision factor. [The dissertation citations contained here are published with the permission of ProQuest LLC. Further reproduction is prohibited without permission. Copies of dissertations may be obtained by Telephone (800) 1-800-521-0600. Web page: http://www.proquest.com/en-US/products/dissertations/individuals.shtml.]